With monetary policy transitioning to...>

CHINA PRESS: With monetary policy transitioning to price-dominated management,

the central bank's control of money market rates needs to be further improved,

the Financial News, a journal run by the People's Bank of China, reported Monday

on its front page. The duration structure of money market rates needs to be

reformed to influence long-term rates, the report said, citing analysts. The

PBOC's monetary instruments have helped optimize the benchmark yield curve and

accelerate monetary policy transmission. The expansion of the bond market and

the reduction in the required reserve ratio can also make bond rates and credit

rates more sensitive to policy signals, the report argued. The macro-prudential

framework should include cross-border capital flows into its macro-prudential

assessments and strengthened controls of the property market to allow for

differing policy systems for varying situations among cities. (Financial News)